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For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why Investors Should Pay Attention to This Value Stock
Finding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to highlight the most attractive and discounted stocks.
FMC Technologies (FTI)
London-based TechnipFMC plc is a leading manufacturer and supplier of products, services and fully integrated technology solutions for the energy industry. The company, which reached its current form following the January 2017 merger between Technip and FMC Technologies, is engaged in the designing, producing and servicing technologically sophisticated systems and products for subsea, onshore/offshore, and surface projects. The company strives to enhance the performance of its oil and gas clients by bringing together the scope and know-how to transform the project economics.
FTI boasts a Value Style Score of B and VGM Score of A, and holds a Zacks Rank #3 (Hold) rating. Shares of FMC Technologies are trading at a forward earnings multiple of 14X, as well as a PEG Ratio of 1, a Price/Cash Flow ratio of 10.2X, and a Price/Sales ratio of 1.3X.
Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. 10 analysts revised their earnings estimate upwards in the last 60 days for fiscal 2025. The Zacks Consensus Estimate has increased $0.02 to $2.06 per share. FTI has an average earnings surprise of 37.2%.
With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding FTI to their portfolios.
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TechnipFMC plc (FTI) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).